MON, JUN 01 2020-theG&BJournal- The Nigerian equities market started the week on a positive note, as investors’ interest in GUARANTY (+2.3%), DANGSUGAR (+9.7%) and BUACEMENT (+0.7%) stocks spurred today’s performance. Thus, the All-Share Index advanced by 0.2% to 25,316.15 points. As a result, Year-to-Date losses moderated to -5.7%.
The total volume of trades decreased by 22.2% to 253.31 million units, valued at NGN2.65 billion and exchanged in 4,775 deals. FBNH was the most traded stock by volume at 41.01 million units while GUARANTY was the most traded by value at NGN887.46 million.
Sectoral performance was generally positive, as gains in the Banking (+1.3%), Consumer Goods (+1.1%) and Industrial Goods (+0.5%) indices outweighed the loss in the Insurance (-0.9%) index. The Oil and Gas index traded flat.
Market sentiment, as measured by market breadth, was positive (2.7x), as 27 tickers gained, relative to 10 losers. NAHCO (+10.0%) and JAPAULOIL (+10.0%) were the top gainers of the day, while FIDSON (-9.7%) and STANBIC (-9.2%) recorded the largest losses.
Currency
The naira strengthened by 0.2% and 2.3% to NGN385.50/USD and NGN440.00/USD at the I&E window and parallel market, respectively.
Money Market and Fixed Income
The overnight lending rate was flat at 3.0%, as system liquidity – estimated at NGN526.57 billion – remains healthy.
Trading in the NTB secondary market was mixed, as average yield was flat at 2.1%. This is attributed to the minuscule trading activity in the space. Elsewhere, average yield contracted by 31bps to 5.7% in the OMO secondary market.
Trading in the Treasury bond secondary market was bearish, as average yield expanded by 7bps to 10.3%. Across the curve, yields at the short (+8bps) and mid (+16bps) segments expanded, as investors sold off the JUL-2021 (+29bps) and JUL-2030 (+63bps) bonds, respectively. The long end was flat.-with Cordros Research
|twitter:@theGBJournal|email: info@govandbusinessjournal.com.ng|
